Trade Alert:
A Chance to Boost Your Winter Profits

Two weeks ago, I sent you a trade alert on Columbia Sportswear (Nasdaq: COLM). The next day, shares tumbled as fellow retailers Skechers and Under Armour posted weak results. Clearly, this is a case of guilt by association.

Indeed, Columbia is cruising higher today after reporting strong earnings overnight. So now we’re locking in a triple-digit gain on half of our position:

Action to take: Set a Good ‘Til Canceled limit order to sell to close one half of your position in the COLM January 2016 $55 call option (COLM160115C00055000) at a price of $8.20 — or whatever price gives you 100% based on your original cost. The last trade in this option went off at $9. If your order is not filled by my next dispatch, I will update you on the trade.

The stock is moving around a lot today. So our orders might not be filled. But just leave them in place and I will update you as necessary.

The fact is that neither Skechers nor Under Armour are part of a winter-weather pattern. So just because they reported flea-bitten results for their summer does not have any bearing on what Columbia will do this winter. Indeed, Columbia reported better-than-expected results, and the shares shot up more than 11% this morning … meaning that our position that was down as much as 60% in value last Friday on the Under Armour/Skechers news, was up more than 100% a week later.

DisclaimerNothing herein should be considered personalized investment advice. The advice we provide is published generally, is not personal to you and does not take account of your personal circumstances. You should not base investment decisions solely on this document.